Political Selection in the Skilled City

Abstract

This paper studies the impact of citizens’ human capital on the characteristics of elected politicians in democratic elections for the post of mayor. By using a change in the rules for Italian mayoral elections and a difference-in-differences estimator, I find that cities endowed with a larger amount of human capital tend to elect mayors that have a higher educational attainment and that were previously employed in skill-intensive jobs. This result is quantitatively small but robust to omitted variables or selection issues.

Keywords: human capital externalities, political selection, cities

JEL Classification: D7, I20, H8